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The SEC’s New Rules Don’t Really Fix Pay For Performance Disclosure

Por: Forbes Business September 24, 2022

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I propose a simpler alternative. Check the buy and hold return of an average Joe shareholder who bought stock on the grant date of CEO’s stock/option grant and sells such equity on the vesting date. Compare that return with reasonable benchmarks such as the S&P 500 or the firm’s cost of equity capital. If the average Joe loses money with reference to these benchmarks, does the CEO deserve to be paid “performance based” compensation? CEO... + full article



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